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U.S. Boosts Electric Cable Imports 28% to Over $19B on Strong Economic Recovery

cable

U.S. Boosts Electric Cable Imports 28% to Over $19B on Strong Economic Recovery

IndexBox has just published a new report: ‘U.S. – Insulated Wire And Cable – Market Analysis, Forecast, Size, Trends and Insights‘. Here is a summary of the report’s key findings.

The U.S., being the leading importer in the global electric cable market, sharply increased purchases last year. In January-October 2021, cable shipments to America rose by 43% to 920M tonnes or by 28% to $19B in value terms compared to the same period of 2020.

From January to October 2021, the U.S. purchased 920M tonnes of cables, a 43% increase compared to the same period a year earlier. In value terms, supplies rose by 28% to over $19B. These figures reflect the total imports of aluminum, copper and other winding wires, insulated electric conductors, insulated ignition wiring sets and coaxial cables.

High demand for wires in the U.S. was induced by the recovery of industrial manufacturing and the delayed spillovers of the construction boom, such as equipping new residential areas with electricity and telecom networks. The average import price of electric wires and cables stood at $20,750 per tonne over the period under review, 11% less than in the same period in 2020. This also contributed to the market growth, making cables more affordable.

Mexico and China remain the largest providers of electric wires to the U.S. In Q1-Q3 2021, American imports from Mexico soared by 63% to 361M tonnes or by 30% to $8.6B in value terms against the figures for Q1-Q3 2020. During that time, the average price of insulated cables supplied from Mexico amounted to $23,872 per tonne, falling by 25% compared to the same period of the previous year. Meanwhile, purchases from China grew by 27% to 112M tonnes, or by 15% to $2.5B in value terms. The average price for cables imported from China dropped by 11% to $22,030 per tonne.

U.S. Imports of Electric Wires and Cables by Country

In 2020, wire and cable imports into the U.S. dropped dramatically to 962K tonnes, decreasing by -20.4% compared with the previous year’s figure. In value terms, supplies fell to $18.4B (IndexBox estimates).

Mexico (417K tonnes) constituted the largest supplier of wire and cable to the U.S., accounting for a 43% share of total imports. Moreover, wire and cable imports from Mexico exceeded the figures recorded by the second-largest supplier, China (148K tonnes), threefold. Viet Nam (65K tonnes) ranked third in terms of total imports with a 6.8% share.

In value terms, Mexico ($9.4B) constituted the largest supplier of wire and cable to the U.S., comprising 51% of total imports. The second position in the ranking was occupied by China ($2.9B), with a 16% share of total imports. It was followed by Viet Nam, with a 6.1% share.

In 2020, supplies from Mexico dropped by -14.6% y-o-y. The remaining supplying countries recorded the following average annual rates of imports growth: China (-15.7% y-o-y) and Viet Nam (+20.6% y-o-y).

Source: IndexBox Platform

green building

Flat glass demand grows with rising green building construction

The process of glassmaking has made significant strides since the time glass was first discovered thousands of years ago. Today, the field of glassmaking has depicted considerable improvements, as is evident in the escalating demand for glass products in almost every sector. Automotive and construction – sectors that are considered as the building blocks of an economy are among the top contributors toward the global flat glass market share.

However, while several sectors are exploiting the benefits of flat glass and its various forms to manufacture different products, the environmental concerns with respect to glass waste are growing. Populations across the world are becoming aware of the hazards of improper glass disposal. According to the Chemical & Engineering News (C&EN), the U.S. disposes off an astounding 10 million metric tons of glass every year. However, only one-third of this waste gets recycled.

Another surprising study by Eco Watch states that glass bottles are causing more pollution than plastic ones since it is mined from rare materials and consumes more fossil fuels to manufacture and ship to other places. An article by Forge Recycling states that the glassmaking process releases various harmful gases, such as sulfur oxides and nitrogen oxide.

Therefore, the concept of glass recycling is picking up the pace in many regions. The article further suggests that recycling the glass waste can reduce CO2 emissions by nearly 314 tons and save up to 345,000 kWh of energy.

Green building construction gains momentum:

The concept of eco-friendly construction is gaining traction among customers and companies alike to reduce their carbon footprint. Various advanced technologies are being introduced in the process of glassmaking which has made flat glass among the most preferred products in the construction of green buildings. According to glass and windows solutions company AIS, conventional buildings can consume nearly 40% of energy and the construction itself can cause the generation of solid waste, which can disturb the natural ecosystem.

Several countries are overcoming this challenge by achieving their goals in the construction of green buildings. For example, in 2020, India achieved 75% of the ‘Green Building Footprint’ target, as per a report by the Indian Green Building Council. This creates opportunities to use various advanced versions of flat glass products.

Solar control glasses are being manufactured by leading companies as they reflect heat or UV rays, which can make the buildings more energy efficient. Moreover, 100% of glass can be recycled, which automatically makes it an ideal product in green buildings. Glass can also reduce the overall weight of the building and offer advanced thermal insulation, thereby increasing its demand among architects and construction firms.

Use of glass in interior designing:

The field of interior designing is ever-evolving as new designs and trends make way for more sophisticated yet stylish home settings. Many reputed interior designers have taken cognizance of the importance of combining environmental sustainability with advanced designs. They are incorporating broken glass shards into their designs that will not only help them achieve their glass recycling and sustainability goals but also enrich a dull space with beautiful colors and shapes.

Ceramic glass is becoming popular among interior designing experts as they are being heavily used to construct fireplaces. Fireplaces often pose the threat of accidental fires, on account of which contractors use this glass as a shield as it can withstand extreme heat.

Demand for laminated glass rises:

Laminated glass may hold a significant share of the global flat glass market by 2027. Laminated glass is being extensively used by several end-user sectors as it can act as an effective alternative to conventional glass due to its high strength and uniformity in construction. It is typically used in buildings that require robust security, such as police stations & vehicles and government establishments.

Laminated glass can also be used in buildings that are at a high risk of being affected by hurricanes or other natural calamities. Its other advantages include reduced emissions, high security, decreased noise pollution, and wide range of designs, which make it highly useful for end-users.

The global flat glass market trends will be positively impacted in the coming years as the demand for advanced technologies in glassmaking is growing. Moreover, several end-users in the construction and interior design sectors are shifting towards combining environmental sustainability in their designs and blueprints to fulfill the need for eco-friendly homes and workspaces among consumers.

The automotive sector across the world is expanding at a strong pace, considering the immense demand for vehicles among the younger generation. This has greatly influenced the demand for auto glass to produce unbreakable yet stylish windows.

Reputed organizations, such as Schott AG, Saint Gobain, Astro Cam, Dillmeier Glass Company, CSG Architectural, Corning Inc., Euroglas GmbH, Oldcastle Building Envelope, Paragon Tempered Glass, and GrayGlass Company, among several others, are producing cutting-edge versions of flat glass for a wide range of sectors.

They are also entering into partnerships and merger & acquisition agreements to strengthen their production capabilities and enhance their customer base. For instance, Germany’s specialty glass manufacturing company Schott AG and the Serum Institute of India (SII) came together in a joint venture in August 2021 to enhance SII’s global supply of pharmaceutical products with the help of Schott’s high-quality pharmaceutical packaging.

HVDC cables

Top 4 Trends that are Set to Boost the HVDC Cables Market Outlook

Grid modernization, coupled with increased integration of advanced technology products for the transmission & distribution network, are some key factors responsible for the increased consumption of HVDC cables. Additionally, the ongoing deployment of renewable energy sources for achieving clean energy goals will further enhance the importance of HVDC cables worldwide.

Speaking of which, the HVDC cables market is predicted to showcase excellent growth numbers during the projected timeframe.

Here are some trends that are poised to bolster the HVDC cables market demand.

Growing demand for UHVDC cables to stimulate the market growth

The ultra-high voltage direct current cables are used for supplying electricity at long distances with minimal power losses. It is this property of power loss minimization across long distances that has increased its demand and subsequently the number of installations.

Many key market players are launching new products to stay on track with the market progress. For instance, NKT introduced their 525 kV HVDC XLPE underground cables to be provided to the upcoming projects of high voltage direct current corridors in Germany.

With current research and development investments by key industry players for deploying energy-efficient and advanced transmission cables, the market for HVDC cables will proliferate over the forecasted timeframe. Industry experts claim that the market segment to record an overall valuation of $530 million by 2027 end.

Rising number of transmission projects to spike the usage of overhead HVDC cables

Rapid industrialization and urbanization in emerging nations have increased the demand for electricity in these regions. This has also led to the up-gradation of existing power infrastructure to widen the reach of electrical supply; enunciating the need for overhead HVDC cables.

In addition, it is easy to operate and maintain land-based transmission grids and HVDC cables can be installed on extreme terrains. Furthermore, a consistent rise in the number of power transmission projects in these nations has bolstered the usage of overhead HVDC cables, thus impacting the market growth.

Government initiatives in Germany to transform the HVDC cables market

The growing number of wind farms coupled with refurbishments in transmission lines and power stations has led to an increased demand for HVDC cables in Germany. This is probably because the government has taken initiatives by heavily investing in these projects and working with industry players to cater to the electricity requirements of their growing industry and urban areas.

For instance, Prysmian, in 2020, signed an agreement with a German grid operator, Amprion GmbH, for supplying ±525 kV HVDC cable system for project A-Nord. Such initiatives will help in boosting the rate of consumption of HVDC cables in the country.

The minimal effect of COVID-19 outbreaks a boon for the HVDC cable industry

The COVID-19 pandemic had negatively affected the economy of almost all consumer-based industries. However, it had minimal impact on the HVDC transmission & distribution industry with heavy investments and massive cash inflows from private as well as public partners.

The power sector being one of the key industrial sectors of the global economy, had inconsequential effects of this novel pandemic outbreak. Rather, the demand for electricity increased in these lockdown times with people being told to stay indoors and work from their homes. This has in fact increased the demand for HVDC cables to cater to such huge electricity requirements.

Source: https://www.gminsights.com/industry-analysis/hvdc-cables-market

wire and cable

Electronic Appliance Demand to Influence North America Wire and Cable Market Forecast

The consistent need for high-speed internet services will enhance North America’s wire and cable market forecast, along with the higher adoption of IoT and smart devices. There has been a surge in the use of internet and telecommunication services as well as the incorporation of renewable energy sources with the expansion of the industrial sector.

Increasing demand for power supply from residential and commercial buildings and soaring investments in the implementation of smart grid infrastructure will boost the consumption of various types of electrical components in the coming years. Estimates suggest that the North American wire and cable market size will reach a yearly estimation of more than USD 40 billion by 2026.

High voltage networks will witness considerable deployment across the manufacturing sector owing to the rising need for bulk electricity transmission over long distances. The steady incline in developmental investments for various clean energy generation projects and augmenting demand for HVDC systems will stimulate the development of high voltage wire and cables in the U.S.

Furthermore, the rising production of power cables can be attributed to the intensifying governmental focus on generation as well as the transmission capacity of the cable components. Annual revenue from coaxial wire and cable technology in the North American market is anticipated to reach a significant share through the coming years owing to their high durability and ease of installation. Coaxial wire and cables ensure the transmission of large volumes of data at significant speeds and are extensively accessed by the internet and service providers in the region to effectively transmit video and audio data.

Consumer electronic applications are likely to gain traction in the overall industry over the coming years owing to the jump in household incomes and the decrease in electronic product costs. There has been a significant deployment of smart systems across the region. Consistent developments in the electronics sector have pushed the demand for multiple low-voltage components for products like smartphones, earphones, and Bluetooth speakers.

Wire and cable manufacturers in the North American geography are focused on new product launches, mergers, and acquisitions to gain a competitive edge over other participants while expanding their global presence. For instance, Belden, a leading wire and cable distributor, introduced the 10GXW Cable, a new CAT 6A cable that works on multi-gigabit connectivity and offers reliable connectivity infrastructure solutions that can be optimized for smart buildings.

The ongoing COVID-19 could have considerably influenced the regional trends owing to the excessive demand for high-speed internet with the regulation of work from home policies. Educational, healthcare, and services industries have brought in significant demand for reliable connectivity, putting a focus on strong cable infrastructure. Cablel Hellenic Cables Group, LAPP North America, Polycab, and Furukawa Electric Co. Ltd., are some of the major firms producing and supplying robust wires and cables across America.

Source: https://www.gminsights.com/industry-analysis/north-america-wire-and-cable-market